The Rio Novo project is a grass-roots project, however it is a project that the Company believes has great potential. Grab sample by a previous company from a large quartz+sulphide stockwork system exposed in a garimpeiro pit returned several grams/tonne gold.
In Q4 2010, Brazilian Gold completed an geophysical survey (16.5 km) over this target and its potential strike extension.
The 2011 exploration program will drill test this target and its associated geophysical anomaly.
Ownership
- Brazilian Gold owns 100% of the project, subject to a 1 to 2% royalty and US$0.5 to US$1.0/ounce bonus depending on the number of reserve ounces (NI43-101 compliant) and the concession that hosts the deposit.
Land
- Five exploration concessions for a total area of 44,576 Ha.
History
- 1970's to present, garimpeiro mining of alluvials.
- 2006, sampling of saprolite in bottom of alluvial pit. Pit bottom exposed quartz+sulphide stockworks that graded several grams/tonne gold (Jau target).
Description
- The project is underlain by granites and felsic volcanic rocks. The Jau target is a stockwork system that is over 50 metres in width, strikes east-west and dips steeply.
- Numerous other targets on this large project require follow-up exploration.
2011 Exploration Program
- Induced polarization survey (16.5 km) was completed over the Jau target in Q4 2010. The survey mapped a chargeability anomaly that is over 500 metres long by 300 metres wide.
- The Jau target is located on the northeast edge of this anomaly.
- Phase One (2,500 m) drill program to start Q1 2011.